Le Hoai An, MA and CFA (Chartered Financial Analyst), lecturer at Ho Chi Minh University of Banking, valued transparency in setting the credit growth target for commercial banks at the beginning of the year. However, the key issues are that data must accurately reflect the true nature of capital flows, supervision must be close enough to detect deviations early, and sanctions must be clear enough to ensure strict discipline. Transparency, right direction The Saigon Times: The recent letter from the State Bank of Vietnam (SBV) has demonstrated transparency and a proactive approach for credit institutions, with formulas and requirements for credit growth established early in the year. What is your comment on this move, especially considering the direction toward removing credit growth quotas? Le Hoai An: When viewed in the right context, setting an annual credit growth target at the beginning of the year is not entirely new. The notable point in the letter is the continuation of that transparent approach and, furthermore, the standardization of disciplinary requirements, which helps banks plan their business strategies more proactively. I believe this is the right move because it significantly reduces the psychological impact of waiting and guessing. When the criteria and calculation […]